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Doha, November 14 (QNA) – Relations between the State of Qatar and the Republic of South Africa are undergoing steady development in all political, economic and investment fields, reinforced by high-level visits by officials in both countries.
To consolidate relations between the two countries, HH the Amir Sheikh Tamim bin Hamad Al-Thani will meet on Wednesday HE President of the Republic of South Africa Cyril Ramaphosa, who is paying a state visit to the country.
HH the Amir will hold discussions with HE President Cyril Ramaphosa related to bilateral relations and ways to support and develop them. A number of MOUs will be signed.
This visit is expected to contribute to strengthening the economic partnerships of the two countries and concluding trade and investment agreements in various fields.
The establishment of diplomatic relations between the State of Qatar and the Republic of South Africa dates back to 1994 as the State of Qatar was at the forefront of the countries visited by former South African President Nelson Mandela in April 1995. Relations between the two countries were also strengthened through two historic visits, the first by HH the Father Amir Sheikh Hamad bin Khalifa Al-Thani in May 2002, and the second was the visit of HH the Amir Sheikh Tamim bin Hamad Al-Thani in April 2017 to the capital, Pretoria.
Former President of the Republic of South Africa Jacob Zuma also made an official visit to Doha in May 2016, during which he met with HH the Amir Sheikh Tamim bin Hamad Al-Thani and witnessed the signing of a cooperation agreement in the defense field.
After signing an agreement between the two countries to avoid double taxation and prevent financial evasion with regard to income taxes, the door was opened for mutual investments as this agreement contributed to strengthening confidence and increasing trade exchange between the two countries. South Africa’s exports to Qatar include chemicals and basic minerals for plant products, machinery, medical devices, vehicles, aircraft, ships, and transport equipment, while South Africa imports mineral products from Qatar, as well as chemical products, elastomers, and plastics.
As evidence of the strength of the relationship between the two countries in recent years, HE President of South Africa Cyril Ramaphosa participated in the first edition of the Qatar Economic Forum in June 2021, Powered by Bloomberg, which was held via videoconferencing. The forum was attended by leaders from many countries around the world and about 2,000 persons, including CEOs, inspirational figures, and decision-makers in finance, economics, investment, technology, energy, education, sports, and climate from all over the world.
HE Ambassador of the State of Qatar to the Republic of South Africa Mubarak bin Nasser Al Khalifa stressed that the participation of HE President Cyril Ramaphosa in the Qatar Economic Forum 2021 constituted a response to the efforts made between the two friendly countries to strengthen bilateral relations that have gained a lot of momentum in the past few years. It also reflects South Africa’s desire to raise the level of cooperation represented by the formulation of many agreements, including the economic, commercial, and technical cooperation agreement, the mutual investment protection agreement, and cooperation agreements in the fields of health, education and youth.
On March 15, 2022, the Qatari-South African virtual business meeting was held and its participants called for enhancing mutual investments between the two sides and advancing cooperation between Qatari and South African companies by establishing commercial alliances and effective partnerships, especially in the food market, especially since 11 percent of South Africa’s GDP comes from the agricultural sector.
In this context, First Vice-Chairman of Qatar Chamber (QC) Mohamed bin Twar Al Kuwari stressed during the meeting that Qatar has strengthened its partnership with South Africa in many fields, the most important of which are oil, minerals, and petrochemicals, and that South Africa is seen as one of the most significant future destinations for Qatari investments due to its abundance of promising investment opportunities that should attract Qatari business owners and investors.
He pointed out that QC encourages Qatari business owners to learn about the promising investment opportunities in the Republic of South Africa, which is considered one of the most developed economies in Africa.
For his part, Director of Asia and Middle East Region at Department of Trade, Industry and Competition of the Republic of South Africa Thulani Mpetsheni praised the distinguished relations between the two countries, which were strengthened through mutual visits and agreements signed between them in many sectors and fields. He noted that the State of Qatar is considered a strategic trading partner for South Africa and that there is interest in increasing South African exports to the State of Qatar and the volume of trade exchange between the two countries.
For his part, President of South African Chamber of Commerce and Industry Mtho Xulu pointed out that there are a group of sectors that attract Qatari investors to South Africa, such as mining, manufacturing, technology, agriculture, food security, and others. He called on Qatari companies to invest in South Africa and enhance cooperation with South African companies.
South Africa is seen as an important trading partner for the State of Qatar, while the trade cooperation between the two countries depends on many factors, including direct air connectivity between them, as Qatar Airways operates daily flights to Johannesburg, Cape Town, and Durban airports. South Africa has eight international airports and eight major seaports for containers, which gives a good opportunity for Qatari businesspersons, to make South Africa a pioneer in strengthening their ties with the rest of Africa.
The South African company Sasol Oryx GTL, specialized in converting natural gas into high-quality liquid fuel is operating in Qatar. Various South African companies have also contributed to supporting the State of Qatar’s preparations for organizing the FIFA World Cup Qatar 2022, as South Africa previously hosted the World Cup in 2010, in addition to infrastructure projects. Nearly 6,000 South African citizens live in Qatar and work in various sectors such as education, nursing, engineering, banking, and sports coaching.
The Qatari partnership with South Africa comes in many fields, the most important of which are oil, minerals, and petrochemicals. QatarEnergy also signed an agreement with Total in 2018 under which it becomes a 25 percent partner in exploration work in the marine area, located off the coast of South Africa, while Qatar’s total investments in the energy sector alone in South Africa are worth around USD 9 billion.
The remarkable Qatari relationship with the Republic of South Africa is an example of Doha’s keenness to extend bridges of cooperation and openness toward African countries, especially in recent years, which has resulted in economic partnerships as well as cultural and sports relations between Qatar and those countries, in parallel with the growing African presence in Doha, which is currently hosting 23 diplomatic missions for African countries.
On the political level and international stances, the two countries share many global stances and within international organizations. The Palestinian issue is one of those similarities, as HE President of South Africa Cyril Ramaphosa expressed, in the first week of the Israeli aggression on the Gaza Strip, his solidarity with the Palestinian people, denouncing Israeli army calls to deport Palestinians from the northern part of Gaza.
The Republic of South Africa is located in the far south of Africa with a population of more than 57 million people. It is a multilingual, multi-religious, and multi-ethnic republic, and this is reflected in its pluralistic composition in the recognition of 12 official languages by the South African constitution, which is the fourth highest number in the world.
The South African economy has a modern banking system, which is considered the largest in Africa and a gateway for international companies, which has made its environment attractive and encouraging. For example, Doha Bank opened a branch there, and Qatar Fertiliser Company (QAFCO) opened a regional office in Cape Town to expand the marketing of its products, not to mention various investments by Qatari businesspersons.
South Africa occupies a distinguished global position on the political and economic levels, and this is evidenced by its hosting of the 15th summit of the BRICS group of countries in August 2023 in an effort to consolidate its role in the global economic system, as the summit witnessed the presence of more than 40 heads of state and government, since the BRICS seeks to transform into a global economic power similar to the G7 industrial countries.
South Africa has an advanced industrial and environmental global classification, while Cape Town has joined the top 100 emerging ecosystems. The city has witnessed a 23 percent increase in the value of the ecosystem, and a 26 percent growth in early deals, in addition to the entrepreneurial renaissance witnessed by Johannesburg, which provides the support and resources necessary for startup companies to obtain appropriate financing to be able to grow and expand. (QNA)
